Abbott Infant-Formula Jury Awards $70 Million Damages (2)

Abbott Laboratories was told by a jury to pay $70 million over claims by four mothers that the company hid the fact its premature-infant formula can cause a bowel disease dangerous to frail babies.

Jurors in state court in Chicago found Abbott liable over claims that the company knew premature babies could develop necrotizing enterocolitis, or NEC, by ingesting the company’s cow-milk-based formula, but continued to market the product to hospital intensive-care units.

After awarding the mothers $53 million in compensation for their losses on Thursday, the jury on Friday imposed $17 million in punitive damages on Abbott.

Company shares ...